source avatarCluck Norris

Share

A lot of new crypto traders get burned because they think a token has deep liquidity when it's actually a rug-pull waiting to happen. The first step is checking if liquidity pool tokens are locked, not just sitting in a wallet that some developer can drain tomorrow. You'll want to visit tools like DexScreener, RugCheck, or the token's blockchain explorer to see where the LP tokens actually live. Look for verified lock contracts from reputable providers like Raydium, Marinade, or other established platforms. These contracts should show you the exact unlock date and the percentage of liquidity locked. If you see "100% locked until 2025," that's way different from "70% locked until next month" — the second one leaves room for a partial exit strategy that hurts remaining holders. Don't just trust what the website says; verify it on-chain yourself. Go to the token's CA, find the associated Raydium or other DEX pool, and trace where those LP tokens are held. If the lock expires soon or isn't fully locked, that's a major red flag that should make you think twice before you wing it into this trade. Verify on-chain before assuming any liquidity is actually locked down. @SolanaFndn

Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information. Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.